Using the following accounts and balances, prepare the Stockholders’ Equity section of the balance sheet using Method 1 of Exhibit 8. Five hundred thousand shares of common stock are authorized, and 35,000 shares have been reacquired. 

Common Stock, $120 par ....................................................$25,500,000

Paid-In Capital from Sale of Treasury Stock .......................... 4,074,000
Paid-In Capital in Excess of Par—Common Stock ................ 7,230,000
Retained Earnings .................................................................. 47,101,000
Treasury Stock .......................................................................... 3,920,000